Universal Health Services Inc. (UHS) reported second-quarter results that missed the Streetâ€™s expectations, prompting shares to fall slightly in after-hours trading.
The hospital management company reported a profit of $65.6 million or 67 cents per share, compared with year-ago earnings of $80.9 million or 82 cents a share.
Revenue rose nearly 3% to $1.34 billion, compared with year-ago revenue of $1.30 billion.
The results disappointed the Street, as analysts had predicted the company would see earnings of 69 cents a share on revenue of $1.36 billion, according to a poll by Thomson Reuters.
Operating margins shrunk to 9.7%, down from 12.5% a year ago, due to cost increases, despite a rise in admissions. Admissions rose 1.9% at acute care hospitals, while behavioral health hospitals saw a 4.7% admissions increase.
The company also announced its board had approved a five-cent cash dividend per share.
Shares of Universal Health rose $1.29 or 3.68% on Monday to finish the day at $36.31. The stock saw a slight decline of less than one percent, falling 11 cents a share in after-hours trading.